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Impact of Corporate Social Responsibility on Value Creation from a Stakeholder Perspective

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  • Josefina Fernández-Guadaño

    (Accounting and Finance Department, Faculty of Economics, Complutense University, E-28223 Madrid, Spain)

  • Jesús H. Sarria-Pedroza

    (Accounting and Finance Department, Faculty of Economics, Complutense University, E-28223 Madrid, Spain)

Abstract

In recent years, we have witnessed how companies and institutions have devoted significant effort to developing Corporate Social Responsibility (CSR) policies, basing their decision on the improvement in company results and the subsequent benefits for shareholders and other stakeholders. CSR means that managers must go beyond the mere satisfaction of the shareholders and take steps to establish balanced relations with all their stakeholders. The principles behind the CSR approach empower stakeholder governance. To test whether CSR policy constitutes a factor in value creation for shareholders and certain stakeholders such as employees, creditors and the State, we conducted an explanatory study, using a Correlated Random Effects approach, which compares the socially responsible companies included in the Spanish sustainability index, FTSE4Good Ibex, with the companies listed on the other indices of the IBEX family. On the one hand, the data show that sustainability reporting is well established in large companies in Spain but that it needs to be introduced more extensively in small and medium-sized enterprises. On the other hand, the findings point out that CSR has a positive and significant influence on the distribution of value in favor of the State, a negative influence for employees and no influence on other stakeholders.

Suggested Citation

  • Josefina Fernández-Guadaño & Jesús H. Sarria-Pedroza, 2018. "Impact of Corporate Social Responsibility on Value Creation from a Stakeholder Perspective," Sustainability, MDPI, vol. 10(6), pages 1-10, June.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:6:p:2062-:d:153050
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    References listed on IDEAS

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    Cited by:

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    2. Irina N. Tkachenko & Aleksandr A. Zlygostev, 2022. "Stakeholder risk research tools in the light of companies’ sustainable development," Journal of New Economy, Ural State University of Economics, vol. 23(1), pages 109-130, April.
    3. Josefina Fernandez-Guadaño & Manuel Lopez-Millan & Jesús Sarria-Pedroza, 2020. "Cooperative Entrepreneurship Model for Sustainable Development," Sustainability, MDPI, vol. 12(13), pages 1-11, July.
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    5. Sara Rodriguez-Gomez & Maria Lourdes Arco-Castro & Maria Victoria Lopez-Perez & Lazaro Rodríguez-Ariza, 2020. "Where Does CSR Come from and Where Does It Go? A Review of the State of the Art," Administrative Sciences, MDPI, vol. 10(3), pages 1-19, August.
    6. Shahid Ali & Junrui Zhang & Muhammad Usman & Farman Ullah Khan & Amir Ikram & Bilal Anwar, 2019. "Sub-National Institutional Contingencies and Corporate Social Responsibility Performance: Evidence from China," Sustainability, MDPI, vol. 11(19), pages 1-21, October.
    7. Irina N. Tkachenko & Irina V. Pervukhina & Aleksandr A. Zlygostev, 2020. "Modeling the contribution and benefits of company stakeholders," Upravlenets, Ural State University of Economics, vol. 11(2), pages 2-15, April.
    8. Qingyu Zhang & Sohail Ahmad, 2021. "Analysis of Corporate Social Responsibility Execution Effects on Purchase Intention with the Moderating Role of Customer Awareness," Sustainability, MDPI, vol. 13(8), pages 1-19, April.
    9. Shah, Muhammad Umair & Guild, Paul D., 2022. "Stakeholder engagement strategy of technology firms: A review and applied view of stakeholder theory," Technovation, Elsevier, vol. 114(C).
    10. Syeda Humayra Abedin & Silima Subha & Mumtaheena Anwar & Md. Nurul Kabir & Yasean A. Tahat & Mohammed Hossain, 2023. "Environmental Performance and Corporate Governance: Evidence from Japan," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    11. Elif Akben-Selcuk, 2019. "Corporate Social Responsibility and Financial Performance: The Moderating Role of Ownership Concentration in Turkey," Sustainability, MDPI, vol. 11(13), pages 1-10, July.
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    13. Irina N. Tkachenko, 2021. "Rethinking the stakeholder approach to corporate governance amid the coronavirus crisis: From commitment declaration to applied models," Upravlenets, Ural State University of Economics, vol. 12(2), pages 2-16, April.
    14. Näyhä, Annukka, 2020. "Finnish forest-based companies in transition to the circular bioeconomy - drivers, organizational resources and innovations," Forest Policy and Economics, Elsevier, vol. 110(C).
    15. Lafont, Juan & Ruiz, Felipe & Gil-Gómez, Hermenegildo & Oltra-Badenes, Raul, 2020. "Value creation in listed companies: A bibliometric approach," Journal of Business Research, Elsevier, vol. 115(C), pages 428-434.
    16. Wilmer Rivas-Asanza & Jennifer Celleri-Pacheco & Javier Andrade-Garda & Rafael García-Vázquez & Virginia Mato-Abad & Santiago Rodríguez-Yáñez & Sonia Suárez-Garaboa, 2018. "Environmental Sustainability in Information Technologies Governance," Sustainability, MDPI, vol. 10(12), pages 1-25, December.
    17. Fabricio Carlos Schmidt & Roselaine Ruviaro Zanini & André Luis Korzenowski & Reno Schmidt Junior & Karl Benchimol Xavier do Nascimento, 2018. "Evaluation of Sustainability Practices in Small and Medium-Sized Manufacturing Enterprises in Southern Brazil," Sustainability, MDPI, vol. 10(7), pages 1-11, July.
    18. Judit Creixans-Tenas & Dolores Gallardo-Vázquez & Núria Arimany-Serrat, 2020. "Social Responsibility, Communication and Financial Data of Hospitals: A Structural Modelling Approach in a Sustainability Scope," Sustainability, MDPI, vol. 12(12), pages 1-20, June.
    19. Shyam Singh & Nathalie Holvoet & Vivek Pandey, 2018. "Bridging Sustainability and Corporate Social Responsibility: Culture of Monitoring and Evaluation of CSR Initiatives in India," Sustainability, MDPI, vol. 10(7), pages 1-19, July.
    20. Vojislav Babić & Siniša Zarić & Rossana Piccolo, 2021. "Corporate Social Responsibility And Environmental Issues: The Report From Italian Companies," Ekonomske ideje i praksa, Faculty of Economics and Business, University of Belgrade, issue 43, pages 1-14, December.
    21. Shanshan Gao & Wenqi Li & Jiayi Meng & Jianfeng Shi & Jianhua Zhu, 2023. "A Study on the Impact Mechanism of Digitalization on Corporate Green Innovation," Sustainability, MDPI, vol. 15(8), pages 1-21, April.
    22. Lei Yu & Daojuan Wang & Qi Wang, 2018. "The Effect of Independent Director Reputation Incentives on Corporate Social Responsibility: Evidence from China," Sustainability, MDPI, vol. 10(9), pages 1-15, September.
    23. Chen-Yueh Chen & Ya-Lun Chou & Chun-Shih Lee, 2021. "Social Innovation, Employee Value Cocreation, and Organizational Citizenship Behavior in a Sport-Related Social Enterprise: Mediating Effect of Corporate Social Responsibility," Sustainability, MDPI, vol. 13(22), pages 1-10, November.

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